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International trade and R&D spillovers

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  • Fracasso, Andrea
  • Vittucci Marzetti, Giuseppe

Abstract

Departing from the usual tenets of proportionality between cross-border trade flows and knowledge spillovers, we investigate whether relatively intense trade relationships are associated with particularly large international R&D spillovers. A nonlinear specification nesting the hypothesis of global and trade-unrelated R&D spillovers is estimated on a sample of 24 advanced countries over 1971–2004. We find evidence that trade patterns positively affect the international transmission of knowledge, in particular when we consider bilateral trade flows that, thanks to the estimation of an auxiliary gravity model, are normalized for the size and the distance of the trading partners. Finally, we discuss the patterns of the bilateral relationships characterized by both relatively intense trade and large R&D spillovers.

Suggested Citation

  • Fracasso, Andrea & Vittucci Marzetti, Giuseppe, 2015. "International trade and R&D spillovers," Journal of International Economics, Elsevier, vol. 96(1), pages 138-149.
  • Handle: RePEc:eee:inecon:v:96:y:2015:i:1:p:138-149
    DOI: 10.1016/j.jinteco.2015.01.010
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    2. Chen, Sheng-Syan & Chen, Hsien-Yi & Yang, Shu-Ling & Chang, Chong-Chuo, 2016. "Output spillovers from changes in sovereign credit ratings," Journal of International Money and Finance, Elsevier, vol. 63(C), pages 48-63.
    3. Stephane CALLENS & Sofiane CHERFI, 2015. "THE INTENSIVE EXCHANGES FLOWS. About a “New Regionalism”: OBOR («One Belt, One Road»)," Proceedings of the INTERNATIONAL MANAGEMENT CONFERENCE, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 9(1), pages 496-505, November.
    4. Nicola Cortinovis & Frank van Oort, 2017. "Between spilling over and boiling down: network-mediated spillovers, absorptive capacity and productivity in European regions," Tinbergen Institute Discussion Papers 17-118/VI, Tinbergen Institute.
    5. Dolphin, G. & Pollitt, M., 2018. "International Spillovers and Carbon Pricing Policies," Cambridge Working Papers in Economics 1803, Faculty of Economics, University of Cambridge.

    More about this item

    Keywords

    Knowledge spillovers; International R&D spillovers; International trade network; Total factor productivity;

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • F01 - International Economics - - General - - - Global Outlook
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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